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Nearly half of all household income is spent running the home, according to a new report which reveals the financial strain of paying household bills in the UK.

The average annual cost of household bills and mortgages for UK homes with three bedrooms is almost £20,000, the research found.

Monthly running costs for owners of three-bedroom homes are £1,634 on average, while renters pay £1,576 per month, according to a report carried out by home insurers More Than.

For households where two working adults take home the average yearly salary of £27,600, this means homeowners spend 45pc of post-tax earnings on household bills and mortgages.

For those who rent three-bedroom homes, that cost falls to 43pc of after-tax earnings.

A gas central heating thermostat is adjustedCredit:
Peter Byrne/PA

The report also found that, on average, the cost of the regular bills for running a three-bedroom home exceeds the average mortgage or rent payment.

“Our ‘Cost of Running a Home Report’ shows just how financially stretched most people are to put a roof over their heads and pay their bills –spending almost half their income before buying other necessities such as food, commuting, petrol or other insurances such as motor,” said Graham Nicholls, head of home insurance at More Than, part of insurer RSA.

The research reveals the average water bill for a three-bedroom home to be £69.33, while the utility bill comes to £90.90. TV, phone and broadband costs come to £47.40, while the average council tax bill is £115.24 per month.

The report found that “there are no three or four bedroom houses in any region where the cost of the household bills and rent or mortgage was not almost half of their monthly take-home pay”. There was, however, “significant variation” in the costs of running similar-sized homes in different regions.

More than 70pc of households in the highest region of Greater London cost more than the monthly average take-home pay of £1,827.90 per month to run, but in Northern Ireland this figure fell to just 3pc.

Our Cost of Running a Home Report shows just how financially stretched most people are to put a roof over their heads and pay their billsGraham Nicholls

The cheapest place to own and run a three-bedroom home in the UK is Omagh, Northern Ireland, where the average cost is £922.53 per month. The most expensive place is Westminster, which costs an average £11,759.93 per month. As for one-bedroom flats, the average monthly running costs in Omagh were £313.27, compared to £4,080.89 in Westminster.

A More Than spokesman said: “These figures reveal that families today either need the head of household to be earning significantly more than the average salary or for both parents to be working just to make ends meet.”